There is a good chance your question has been answered before. See our FAQs section below to see if we have answered any of your questions.
→ What is a taxable activity?
Any activity carried out continuously or regularly by a business, trade, manufacturer, or professional, association or club.
→ What is a TIN?
A Tax Identification Number (TIN) is a unique number assigned to an individual who pays taxes.
→ How long must I keep records for my business?
Records must be kept for seven (7) years from the date the transaction took place (reference Section 20 (6) of the Tax Administration Act).
→ Why do I have to travel to Kingstown to pay for certain things?
I’ve been paying taxes for a long time, am I entitled to a tax refund?
You may be entitled to a refund if too many taxes were deducted from your salary. →How long would it take before I get my refund?
After processing at the IRD, all refunds must be verified by the Treasury Department before they are deposited into the taxpayer’s account. →Why do I pay taxes and do not get a refund?
Taxes are calculated using the tax tables. Once the correct taxes are deducted from your salary/income, there is no refund to obtain. →How do I know if I have received my refund in my account?
→I do not have an account at a financial institution; can I use my spouse’s/parents’/relative’s account?
You must have your own banking account. You can only use another person’s account if you are a signatory to that account. →I did not collect my refund for tax period 2022 (or earlier tax periods), what should I do?
For tax periods prior 2023, taxpayers must present one piece of identification (National ID or Driver’s License) to obtain a copy of their refund notice from the IRD.How long must I wait before changing the photo on my Driver’s card?
Photos are renewed every five (5) years. →How long does it take to print my Driver’s card?
Approximately three (3) minutes. →Can I pay with my Visa card at the cashier?
Yes.When I am objecting to an assessment, what do I need to do?
When objecting to an assessment from the Department, taxpayers must write to the Comptroller of the Inland Revenue Department stating their reasons for objecting as well as submitting a copy of the assessment. →What is a Best Of Judgment (BOJ)?
This is an estimated assessment raised on taxpayers where no returns are furnished or where the Comptroller is not satisfied that returns furnished are true and correct.→ What should I do if I want to cancel my VAT Registration?
→ What is the threshold to be registered for VAT?
Taxpayers must gross $300,000.00 in taxable sales (actual or estimated) within a twelve month period.→ What is a VAT Reverse Charge?
This is how you must account for VAT on services that you purchase form businesses who are based outside of St. Vincent and the Grenadines. You must be VAT registered for this charge to apply to you. The recipient of the service performed by the non-resident pays the charge.What is VAT?
A tax imposed on the value of imports, the value added or mark-up on goods and services supplied by one business to another and business to the final consumers.
Date of Implementation (VAT)
Implementation date: May 1, 2007
What are the VAT Rates?
- Standard rate – 16%
- Zero-rated Supplies – 0%
- Accommodation – 11%
What is the VAT registration threshold?
This is the minimum sales figure, which determines whether or not a business is registered and required to charge and collect VAT. This threshold is $300,000 in annual sales.
What are the types of VAT Supplies?
- Standard rated Supplies
- Zero-rated Supplies
- Exempt Supplies
VAT Invoice
A registered business issues a VAT INVOICE to another registered business when a sale occurs.
VAT Sales Receipt
A registered business issues a VAT SALES RECEIPT to the final consumer when a sale occurs.
PAYMENT DUE
The difference between the output and input VAT payable at the end of the tax period (a calendar month).
An audit involves reviewing the income-generating activities (financial and non-financial) of taxpayers to ensure that the information contained in a tax return is accurate. Audits are conducted through an examination of accounting books, records, and financial affairs to verify that returns submitted are in compliance with tax laws, thereby assisting in identifying risks.
Objectives of an Audit
- To ensure compliance with tax laws and policies.
- To determine the accuracy and completeness of taxpayer submissions.
- To assess and improve efficiency and effectiveness in the administration of taxes through taxpayer education and intelligence gathering.
- To detect non-compliant behaviors by reviewing returns filed or utilizing other sources of information to assess the level of a taxpayer’s conformity to their legal tax obligations.
- To promote and encourage compliance with the various acts and other legislation by exercising vigilance in monitoring and assessment activities.
Records used in the preparation of financial statements must be kept in St. Vincent and the Grenadines, in English, as stated in Section 20 (1) & (8) of the Tax Administration Act (TAA).
- Records must be kept at the place of business of the taxpayer, unless the Comptroller gives approval in writing for a change of location. (S. 20 (4) of the TAA)
- Records must be kept in a manner that facilitates efficient audits and have direct links and/or traceability to the General Ledger (GL), etc.
- Records must be kept for 7 years from the date the transaction took place. (S. 20 (6) of the TAA)
Importance of Keeping Proper Books and Records
It is important to maintain proper books and records for the conduct of audits to verify information reported on financial statements.
Timeframe for the maintenance of books and records
Books and records must be maintained for seven (7) years
What is it?
Tax charged on the cost of each ticket purchased or fare paid for travel originating from SVG.
Tax Rate – 5%
When is the tax due?
On or before the 15th of the month following the tax period in which it was collected.
Taxes Administered by the Inland Revenue
- Corporate Income Tax (CIT)
- Individual Income Tax (PIT)
- Value Added Tax (VAT)
- Pay As You Earn (PAYE)
- Withholding Tax (WHT)
- Climate Resilience Levy (CRL)
- Insurance Business Tax (IBT)
- Travel Tax
- Land and Property Tax
- Excise
- Other
What is it?
This tax is charged on the income of insurance companies (both Life and General).
When is the tax due?
On or before the 15th of the month following the tax period in which it was collected.
What is the rate?
5% on all premiums.
What is it?
Tax levied on land and property owners in SVGWhat is it?
Tax payable by every person except taxpayers with employment income only.
Who pays Estimated Tax?
Every taxpayer whose tax chargeable on assessment, as reduced by tax deducted at source, is more than $600.00. It is calculated on the chargeable income of the last assessment.
When is the tax due?
It is paid in four (4) installments in the 6th, 9th, and 12th months of the income year and 3 months after the income year ends.